How higher gas prices are changing the cost equation for landscaping businesses

LAS VEGAS (KTNV) — Amid continued turmoil in the Middle East, gas prices remain stubbornly high, and here in Southern Nevada, the effects are reaching beyond your commute.

As I learned on Monday, landscaping companies that service our neighborhoods are seeing fuel costs double — and that means potentially higher prices for homeowners' associations and residents.

I heard from one local business owner about how his company is dealing with the pressure on its bottom line:

Edgar Larios tells me each week, big landscaping rigs and heavy equipment need massive amounts of fuel, and because of the war with Iran, his fuel bill has nearly tripled.

"Now, I have to pay between $5,000 to $6,000 a week on gas, so that's a lot of expense — over $100,000 a year," Larios told me. "Gas prices have definitely changed the way we do business. We've got to adjust the pricing."

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Larios tells me that price adjustment could ripple straight to residents. Higher fuel costs mean higher HOA landscaping contracts, and that could mean higher fees for people across the Las Vegas Valley.

"Every $100 contract, now I have to charge $110," Larios said.

For landscaping businesses like Larios's, it's not just the cost of fuel to get to your house or neighborhood. Each piece of equipment has its own gas tank to fill — with diesel — at prices of nearly $7 a gallon. Larios says that costs more than $300 every time they refuel every week, leading business owners like him to question, "Are you making money, or just breaking even?" Larios said.

"Gas prices had a lot to do with that, for subcontractors, contractors, landscape contractors — everyone has to adjust," he said.

We want to hear from you: How are you being affected by higher gas prices? Let us know by filling out the form at ktnv.com/letstalk.